Aon Edge’s Dickson: Rising Flood Risks Reshape Insurance Preparedness, Coverage Strategies
A new University of Alabama study finds more than 17 million Americans along the Atlantic and Gulf coasts now face the highest recorded flood risk, prompting Aon Edge CEO John Dixon to discuss how escalating exposure is reshaping insurance preparedness. Dixon emphasizes that flood risk is no longer confined to coastal riverine zones; intense, localized rainstorms drive exposure anywhere. He attributes the persistent flood‑insurance gap to the binary “mandatory purchase area” rule tied to federally backed mortgages, which creates a false sense of security for properties just outside the line. Citing recent events such as the Camp Mystic flash flood in Texas and the Ruidoso, New Mexico deluge, Dixon notes that “proximity to rain” now dictates vulnerability. Aon Edge is deploying AI‑enhanced modeling, interactive dashboards, and a suite of private, excess and parametric solutions to give homeowners and brokers real‑time, customized risk insight. The shift forces insurers to rethink underwriting, pricing and risk‑transfer strategies, while expanding education efforts to close protection gaps. Faster data, product innovation and broader coverage options are essential for building more resilient communities and maintaining profitability in a climate‑driven market.
Geneva Association’s Schernberg: Insurers and Governments Urged to Rethink Risk-Sharing
The Geneva Association’s latest report warns that widening protection gaps – the shortfall between total economic losses and insured losses – are eroding resilience across natural catastrophes, cyber attacks and pandemic‑related business interruption. Ellen Shernburgg explains that only about...
AM Best: Florida Reforms Are Positive Developments; Underwriting Discipline Remains Essential
Florida property insurers have entered a rare profitable phase, highlighted by AM Best’s latest report. In 2025 the Florida composite market generated nearly $1 billion of net underwriting income and added $1.5 billion to surplus, the first underwriting profit in over a decade....
AM Best: Artificial Intelligence Appears to Be Ready, but Most Insurers Are Not
AM Best’s latest market‑wide survey reveals that artificial intelligence is no longer a futuristic concept for insurers, but its full‑scale deployment remains uneven. While 41% of respondents report active AI use in core functions and 63% have formal AI policies, only...
U of Wisconsin’s Collier: Climate Shocks Push Insurers to Rethink Small-Business Coverage
The video presents research by University of Wisconsin‑Madison professor Benjamin Collier on how Hurricane Harvey reshaped risk for small businesses and insurers. By combining on‑the‑ground interviews, a survey of 250 firms, and credit‑report data for roughly 8,000 companies, the study...
AM Best: Personal Auto, Homeowners Markets’ Stabilization Despite Decline in Approved Rate Changes
The AM Best report highlights a stabilization in U.S. personal auto and homeowners insurance markets, with average annual rate increases returning to pre‑pandemic levels in 2025. After several years of steep hikes driven by elevated loss costs, insurers are now moderating...
AM Best’s Modica: Warsh’s Fed Leadership Could Be Shift Toward Leaner Central Bank Intervention
The interview with AM Best economist Anne Modica focuses on the possible appointment of former Fed governor Kevin Worsh as chair, a transition that would end a decade of Jerome Powell’s steady‑hand leadership. Modica outlines Worsh’s core belief that quantitative easing belongs...
AM Best: UAE Insurers Navigate Geopolitical Tensions Following Strong Financial Year
AM Best’s latest market segment report examines the UAE insurance sector’s 2025 performance against the backdrop of the escalating US‑Israel‑Iran conflict. While war‑related exclusions have limited direct loss exposure, the analyst notes that war‑risk premiums have surged from under 1% to...
BestWire: Prudential Expects Two-Year Financial Hit From Japan Sales Suspension Could Reach $1 Bill
Prudential Financial said it could incur about $1 billion of costs over two years after voluntarily suspending new sales in Japan following employee misconduct that harmed 498 customers and involved about 3 billion yen (~$19.5 million). The company expects a...
AM Best: US Medical Professional Liability Premium Growth Slows Further
A new AM Best report shows the U.S. medical professional liability (MPL) market posted a $712 million underwriting loss in 2025, up from $546 million in 2024, while premium growth fell short of expectations. The widening loss reflects higher claim severity, social‑inflation pressures and...
AM Best: Life/Annuity Balance Sheet Strength Driven by More Than Just Best’s Capital Adequacy Ratio
The video discusses AM Best’s latest analysis of life and annuity balance‑sheet strength, focusing on the Capital Adequacy Ratio (BCAR) and how recent market dynamics are reshaping risk profiles. Stephen Vincent explains that BCAR, unlike the NAIC’s Risk‑Based Capital (RBC) system,...
BestWire: Insurance Commissioner Races Gain Momentum Across Key States
The AM Best Audio segment spotlights the 2024 insurance commissioner elections in three pivotal states, contrasting elected versus appointed models and why the races matter for regulators and insurers. Eleven states elect their commissioners, answering directly to voters, while the remaining appoint...
BestWire: US Expands Gulf Shipping Insurance Backstop
The U.S. government announced a major expansion of its Middle East shipping reinsurance program, raising the facility’s capacity to $40 billion. The move adds six new U.S.-based insurers to a pool led by Chubb, while India simultaneously unveiled a $1.5 billion sovereign...
AM Best: Australia’s Non-Life Insurance Segment – Navigating Growth in a Volatile Landscape
AM Best’s latest market review examines Australia’s non‑life insurance sector, highlighting a notable jump in profitability for fiscal year 2025. The analysis, presented by analyst Chi Yoon, attributes the improvement to a combination of underwriting gains and solid investment performance. Underwriting margins widened...
Pacific Life's Ghalili: Human Judgment Still Anchors Underwriting as AI Expands Its Reach
Pacific Life’s senior vice president and chief underwriter, Susan Galilei, explained how artificial intelligence is moving from a speculative concept to a practical tool in life‑insurance underwriting. In an AM Best Audio interview, she highlighted that the industry’s 2026 underwriting outlook...